Which of the following is an incorrect statement regarding the relationship between Abnormal Returns (Alphas) that a fund generates and its Tracking Error against a benchmark?

High Abnormal Returns (Alphas) are a result of high Tracking Errors.

Investors determine the level of tracking error and then choose the fund that has a high significant abnormal return (alpha)

Tracking errors cannot be negative but abnormal returns (Alphas) can be negative

High Tracking Error results in high positive Abnormal Returns (Alphas)

High Tracking Error can result in low and negative Abnormal Returns (Alphas)